Smiths City boosts offer for share buyback
Department store chain now offering to buy shares from its smaller investors for 49 cents.
Department store chain now offering to buy shares from its smaller investors for 49 cents.
Department store chain Smiths City has added 6 cents to its offer to buy back shares below the NZX-set minimum price of 50 cents.
The department store told investors at its August annual meeting that those who held fewer than a minium 1000 shares had to increase their shareholding of the company would have to buy them.
When the share price is between 25 cents and 50 cents, NZX listing rules require shareholdings to be of at least 1000 shares.
Smiths smaller shareholders have now received a formal notice of offer from the company, offering to buyback the shares for 49c – matching the price its shares were trading at on February 20.
That’s higher than the offer first put to shareholders in December of 43 cents – matching matched a 10-day share price average at the time of its interim report.